Article: State Farm will challenge diminished value claims

BLOOMINGTON - An agreement to pay a $250 million settlement in Georgia does not mean State Farm Insurance Cos. will stop contesting the so-called diminished value claim in other cases.

The settlement, announced Friday, ends a two-year-old lawsuit in which policyholders contended that their vehicles were worth less after an accident, no matter how well repaired. State Farm agreed to pay for future claims in Georgia, which could reach $100 million.

"We believe a settlement of the case is in the best interest of the policyholders and the company," State Farm spokesman Dave Hurst said Monday. "We wanted to avoid further litigation and court costs (in Georgia)," he said.

"We continue to believe ...

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